There are mixed views in here as to its effectiveness when used as a powder - most favour using it in a "slurry" and painting it on the nest box and perches as it keeps down the dust and so there's less chance of causing chest problems for your birds and ourselves when cleaning. I use the slurry on the perches and Frontline spray for my girls and that seems to do the trick.
You should only ever use the food grade powder, the one used for industrial purposes is carcinogenic when breathed in and it's use is banned in many countries.